London court may decide on €2.8bn Kiev default in bonds

A two-year feud between Ukraine and Russia is on the verge of being played out in a London courtroom after the government in Kiev defaulted on $3 billion (€2.75bn) in bonds.

Ukrainian President Petro Poroshenko followed through on months of threats on Friday by reneging on the debt sold by his predecessor to Russian President Vladimir Putin in December 2013, two months before Viktor Yanukovych was toppled and the former Soviet republics went from allies to adversaries.

The bond has since become a focal point of the deteriorating ties.